Enhanced transport economy modelling along the ‘new silk road’

  • Jan Stenis LundaHydro AB Sweden
  • William Hogland Linnaeus University, Sweden
Keywords: Cargo transport, 'New Silk Road', trucks, economic incentives, equality principle


This paper presents an innovative method to enhance transportation of cargo applied on the ‘New Silk Road’. Allocation of shadow costs gives economic incentives to improve the Eurasian communications by employing the equality principle and the model for Efficient Use of Resources for Optimal Production Economy (EUROPE). The profitability and Gross Domestic Product increase, the technology is advanced, the environment and the living conditions improve. A single monetary key factor expresses aspects of interest and enables simultaneous monitoring, managing and evaluation. The method constitutes decision support tools for long-distance transportation at higher policy analysis organizational levels. The results of the case study point in the direction of a substantial usefulness for the launched methodology to reduce the spillages and losses when transporting cargo by truck along major transport routes. The global integration will go faster and easier. Peace and prosperity are promoted. The major benefits are: higher profits, and; less residuals.

Environmental issues: local & global